Lockheed Martin raised its full year 2026 guidance after reporting third quarter results on October 22. Sales for the quarter ended September 27 rose 11% to $20.71 billion, driven by 24% growth in the company's missiles unit on higher PAC-3 and THAAD interceptor production and a 13% increase in aeronautics revenue tied to the F-35 and C-130 programs. Quarterly profit rose 14% to $1.85 billion, or $7.97 a share.
The company now expects full year 2026 sales of about $80 billion to $82 billion, up from its earlier forecast of $79.75 billion to $81.75 billion. It also raised its annual earnings per share forecast to a range of $30.35 to $30.75, from $29.95 to $30.65 previously, and lifted its 2026 free cash flow forecast to roughly $7.8 billion to $8 billion, up from $7 billion to $7.2 billion.
Demand for Lockheed's missile systems has been fueled by ongoing conflicts abroad, and the company's order backlog reflects it, rising 27% from the prior quarter to a record $292 billion. A single multi year award for PAC-3 Missile Segment Enhancement interceptors, worth $52.5 billion, accounted for much of that jump.